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Your foreign exchange trader in the United States has quoted the following rates for the Swiss Francs spot, 1-month, 3-month, and 6 month: $0.5965/72 50/61

  1. Your foreign exchange trader in the United States has quoted the following rates for the Swiss Francs spot, 1-month, 3-month, and 6 month:

$0.5965/72 50/61 127/143 242/267

  1. If you wished to buy 1,000,000 3-month Swiss Francs, how much would you pay in dollars?
  2. If you wanted to buy 1,000,000 6-month dollars, how much would you pay in Swiss Francs?
  3. In New York, three month treasury bills yield 11% per annum, Using ask quotes only for simplicity, calculate the yields on Swiss three-month bills.

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